l.S 



HARDWOOD RECORD 



January 10, 1922 



S. E. Richey, Vice-President in Charge of Cincinnati 

 District 



A. E. 



Norman, Vice-President in Charge of Louis- 

 ville District 



Moore, Vice-President in Charge of New 

 Orleans District 



oraiitino power cif attdiiiev to .). H. Tiiuiislii'iid, sci-retai-v-in.-iuagi'r 

 of the a.ssoeiation, giving liim full power to "obtain rates, route 

 freight traffic and handle freight traffic matters generally." The 

 idea was freely expressed, during discussion of the subject, that 

 placing the power of routing shipments in the hands of Mr. Town- 

 shend would put him in position to deal far more effectively with 

 the railroads tlian up to the present time. 



Mooney Deplores Decision 



C. P. .J. Mooney declared, in an informal address, that it is "ex- 

 tremely unfortunate that ]iracticcs which have been regarded as 

 entirely pro|)i!r in business ;ind association circles should suddenly 

 be ])ronounccd illegal by the highest tribunal in the land." Hi- 

 asserted that even the Supreme Court recognizes changing condi 

 tions from time to time and expressed the belief that a way will be 

 found by which the hardwood industry will be able to secure the 

 basic information necessary to intelligent conduct of its business. 



"Saw mills must run," he said, "just as plou;:hs must kcc)! 

 busy and commerce must go on or the country will go bankrupt. A 

 way must be found, despite the pronouncement of the Supreme 

 (!ourt. Tw,;-thirds of world is now doing business at a loss and 

 things cannot kee]) on this way. 



We mast j:ct it out of the hniius iit the powers tliat l)e that every man 

 who is prosperous is dishonest. Tlie govei-nnient and the law-makers must 

 recognize that a Iiij; unit, whether an associatioii or a eorporation, may be 

 an honest unit. The XJnitefl States is tlie biggest country in the history 

 of the civilized world, a country at big things and of big men. And it 

 niust be. The government has not a single doUai except as money is con- 

 tributed by the citizens of this country. .-Vgriculture, manufacturing, mer- 

 chandising, mining and all the other activities that go in make up the 

 eommeree of this country must be kept in motion or the government will 

 not have enough money with which to pay the tremendous burden nf taxa- 

 tion umier which it is staggering. 



The freight rate situation represents the most vital shock to commerce 

 in the Unites! States, he said, turning to tlie question of freight. In raising 

 their rates the railroads have killed their business and the business of 

 the country. They are very much in the position of a man trying to lift 

 himself by his bootstraps. 



Present high tri'ight rates Itrinj; al'nul. in \onr imsiiM'ss. a waste <»f 

 resources for which there can be no eompensatitm whatever. The matter 

 is deeper than loss of dollars to you. It represents u loss to the com- 

 muidty. to the country and to the railroails. lluring an exti-nded trip 

 through the North and Kast last sinnmer, I saw commercial and industrial 

 tragedy written in miles and miles of empty railroad ears and idle lootmo. 

 tives. "di-ad" for watit of traffic to haul ami deteriorating heavily, despite 

 their enormous, almost fabulous cost, through lack of use. 



The position of the nillronds is difficult, but there is a point of safety 

 to go one inch beyond which kills traffic. If rates were reduced to a point 

 that would permit lumber to move at a profit to manufacturers and that 

 would allow n free movement of other commodities on a similar basis the 

 wheels of industry would hum again. Kveryhody any everything, including 

 freight rates, labor costs, commodity prices, btiidiing rates, must get back to 

 this safety point before business will speed up again. 



Mr. Mooney 's concluding remark was: "I am not .■isliained to 

 associate with you lumbermen, no matter what you have done," a 

 remark which elicited much laughter from till who heard him. 



Thank Missouri Pacific 



On motion of Wtilker L. Wellford, secrcttiry and general manager 

 of the Chickasaw Coo]ierage Company, the association unanimously 

 adopted resolutions thanking the Missouri Pacific system for its 

 voluntary action in putting in a rate of 19 cents per hundred pounds 

 on hardwood lumber and forest products moving from Memphis and 

 ]ioints south of this city, in southeastern Arkansas and northern 

 Louisiana to New Orleans for export. The Interstate Commerce 

 Commission left this ojdional with (he railroads and the Missouri 

 Pacific system acted indc]iendently of the others. 



.\t a meeting of the board of directors held immediately after 

 adjournment, .1. H. Townshend, secretary-manager, was re-elected 

 for another year and J. V, Norman was chosen as general counsel. 



There was intimate discussion of the next move in the rtite 

 fight but this was executive and nothing is available for publica- 

 tion beyond the fact that the association will be represented at the 

 general investigation of rates to be conducted by the Interstate 

 Commerce Commission in .lanuary, "lumber d;iys" being ,lanuary 

 L'f) and 27. 



Secretary Manager^s Annual Report 



The full text of the ninth annual report of J. H. Towmshend, secre- 

 tary-manager of the Southern Hardwood Traffic Association, is as 

 follows: 

 Mr. President and Gentlemen : 



I wish to make the ninth annual report for your Association. 



There is a feeling among a great many of our members that our entire 

 activities during the past year have been devoteil to a reduction ami reail 



justment of the forest product rate structun^ of iln' eountry. \Vc> have di' 

 voted a great deal of our time and energy towards obtaining the necessary 

 readjustments in freight rates because of the conviction on the part of our 

 members that there could be no return to permanent prosperity until the 

 rates were readjusted. .-\nd when I complete my report of achievetnents 

 during the past yi-ar. I think you will agree that our activities have ex 

 fended to every field of traffic endeavor and that the dues paid for nfm 



